Archive for the ‘Postage’ Category

Savings on Postage

Monday, June 25th, 2018

 

Direct mail makes an impact on the recipient and leads to higher ROI’s than email campaigns alone, But did you know there is a more cost-effective and efficient way to reach your audience with direct mailing? You should know about EDDM (Every Door Direct Mail). So what is EDDM?

“USPS Every Door Direct Mail is an affordable targeted advertising technique that lets you map your marketing mail audience by age, income or household size. You can use the EDDM mapping tool to choose the ZIP Code™ and carrier route that will target your best possible customers” – https://www.usps.com/business/every-door-direct-mail.htm

Instead of purchasing a list or spending hours collecting data, you can follow the link to the USPS website and select the location and demographics to come up with your perfect mailing list:  https://eddm.usps.com/eddm/customer/routeSearch.action

When using Retail EDDM your postage per piece will be $0.178 and you are limited with a per day mailing quantity of 5,000 pieces, The mailing has to be delivered to the post office’s designated by the EDDM planning tool on the USPS website. That is a 30% or more savings on Presorted Standard mail.

So now that you know the basics of EDDM let’s talk about BMEU. What is BMEU and how does it differ from Retail EDDM?

BMEU is a type of EDDM and you can submit your mail at a Regional Business Mail Entry Unit (BMEU) or at a local retail Post Office. The mail gets labeled BMEU instead of being labeled Retail. The benefit of using EDDM BMEU comes down to the size of your project. If you are mailing more than 5000 pieces per day and to multiple routes, BMEU is the way to go for even more savings. Pricing for BMEU is $0.157 per piece with a 38-40% savings on postage with a more targeted list.

Retail EDDM vs BMEU

 

Contact us at info@premieruplink.com to learn more

2018 USPS Postage Rates

Monday, January 29th, 2018

United States Postal Service rolled out the new postage changes January 21st. We will see changes in pricing in a few areas; The most important areas are First-Class Mail and Presorted First-Class Mail.

US Postal Service Postage Highlights:

First-Class Mail®

  • First-Class Mail® Letters up to 1 ounce will increase from $0.49 to $0.50
  • First-Class Mail® Flats up to 1 ounce will increase from $0.98 to $1.00
  • First-Class Metered Mail will increase from $0.46 to $0.47
  • Marketing Mail prices (formerly known as Standard Mail) are increasing 1.9% on average, as well the prices for Bound Printed Matter, Media Mail®, and Library Mail.
  • First-Class Mail® Parcels (Retail): pay one price up to 4 ounces: $3.50, an increase of $0.50.

Presorted MailUSPS Presort can save you money on your annual postage bill. Presort is a discount for customers who have their mail sorted before it is sent over to the USPS. Presorting offers discounts based on service level, mail shape, and weight. If you send over 5,000 pieces of direct mail at a time then switching to presorted mail is definitely worth it.

  • Mixed AADC (MAADC) automation letters and AADC automation letters have been reduced from 2 cents to 1.6 cents.
  • Automated presort flat rates are decreasing 1.6 cents.
  • The USPS is also continuing an incentive that allows First-Class mailers that presort their mail to send letters weighing up to 3.5 ounces for the same price as a 1-ounce letter.
  • Presort Letter/Postcards prices increased by 1.591%, but presorting to the five-digit ZIP code level is still 3 cents cheaper than the AADC level.
  • Full-Service Intelligent Mail® Barcode (FS IMb) on First-Class and Marketing Mail will still provide a $0.003 and $0.001 discount.

Below is a new USPS postage chart:

2018 Commercial First-class letter rates:

Automation Automation Machinable Non Machinable
Weight Not Over
(ounces)
5-Digit AADC Mixed AADC Presorted Presorted
1 0.378 0.408 0.424 0.458 0.668
2 0.378 0.408 0.424 0.458 0.668
3 0.378 0.408 0.424 0.458 0.668
3.5 0.378 0.408 0.424 0.458 0.668
Postcard 0.257 0.268 0.274 0.280
Nonmachinable
Surcharge
0.210

2018 Commercial Marketing Mail rates:

Carrier Route Automation
Entry Point Saturation High-Density Plus High-Density Basic 5-Digit Scheme AADC Mixed AADC
None 0.186 0.196 0.200 0.292 0.251 0.274 0.287
DNDC 0.164 0.174 0.178 0.265 0.227 0.250 0.263
DSCF 0.158 0.168 0.172 0.257 0.220 0.243
DDU

For more postage changes visit the USPS: https://pe.usps.com/pricechange/index

For more information on how Premier can help you, please email us at info@premieruplink.com

 

Informed Delivery: The Next Small Big Thing or Is it?

Tuesday, April 25th, 2017

After hearing about Informed Delivery and weighing out the reasons why this service is so beneficial, I decided to head on over to the USPS website and sign up for this free service. Sign up was simple and easy, all you needed to do was pick a user name and password, add two security questions and choose if the account is personal or for business. Once you isgn up, you immediately start receiving an email notification every morning before 9am. These notifications show 10 scanned black and white images of the mail your household will be receiving for the day, if you are receiving more than 10 pieces of mail the email will have a link below that will take you to your USPS dashboard to view the rest of your mail for the day. Below are some images of what the email notifications look like.

After using Informed Delivery since its launch on April 14th it’s rather nice knowing exactly what is arriving in your mailbox each day. When I signed up I thought I would just be receiving the previews of my mail that would be arriving everyday but it turns out that is not the case, the email you receive in the morning has images of the mail arriving for everyone in the household. Other than that, I look forward to receiving the email alerts each day, the images provide a teaser of the marketed sales pieces and other mail to open later that day. I like the advance notice as well. I can relay the notifications to anyone in the household that may be looking for the piece of mail if they didn’t sign up for Informed Delivery. Also, it is very interesting to see how color pieces translate when scanned and sent in black and white, so far I have only seen two pieces that were a little hard to read but everything else was sharp and easy to make out. The scanned areas I find will provide marketers with a space for marketing campaign advertisements to draw up excitement about a mailed piece. The only drawback I can find would be for any student who is expecting a report card in the mail can no longer hide it from their parents.

Let us know what you think of this new service info@premieruplink.com

January 2017 Postage Rate Increase

Thursday, December 1st, 2016

 

Starting this January, The U.S. Postal Service puts into effect their new rates.  The USPS recently filed for the rate change for market dominant products, but the good news is we will see a drop in some categories for commercial First-Class mailings.

2017-rates

Note that there are two areas where we will see the largest increases; the first being the Retail Single Piece (stamped mail) and the second being Single Piece Flats, both of which growing 4.3%. We find the decreases, with Commercial First-Class Mail for Metered Single Piece Mail ($0.465 to $0.460) a savings of $0.005 (1.1%). The five-digit presorted mail will increase by .8% ($0.376 to $0.373) a savings of $0.003. Just by glancing at both of these numbers you may not think that this is a very large savings amount but, if you are sending about 1 million pieces you would save $2,885 each time.

The next big change involves weight restrictions for First-Class Commercial Machinable Letters. Weight allowance will increase 3.3 ounces to 3.5 ounces matching that of standard mail. This new weight increase will allow for heavier stocks, and inserts and increased opportunities for marketing and client communication opportunities.

For more information on the new postage rate changes check out: https://ribbs.usps.gov/index.cfm?page=mailingpromotions

For more information on how Premier can help email us at info@premieruplink.com

Postal Service Delays Price Change

Tuesday, March 31st, 2015

Just released ….

The Postal Service Governors decided today to delay the implementation of new market-dominant and competitive rates and classification changes until all of our proposed market-dominant changes are approved by the Postal Regulatory Commission (“PRC”).  This decision was primarily motivated by a desire to eliminate potential adverse impacts on postal customers that might result from a staggered implementation of our new prices.  

While proposed prices for First Class Mail, Special Services and Competitive Products have all been approved by the PRC, prices for the Standard Mail, Periodicals and Package Services classes have twice been remanded back to the Postal Service by the PRC for a wide array of technical and other concerns that are primarily related to the complexities of the price cap and the manner in which it is calculated. 

Rather than subject our customers to a piecemeal implementation of our new prices, the Postal Service has decided that the best course of action would be to wait until our complete price proposal is approved by our regulator.   We will set a new implementation date when we propose new prices for Standard Mail, Periodicals, and Package Services in response to the PRC’s March 18th remand order. 

 

2015 Postal Rate Changes

Thursday, March 26th, 2015

UPS Alert

 

PRC Approves First-Class Mail Price Adjustments

New Prices are Scheduled to Take Effect April 26, 2015

On February 24, 2015, the Postal Regulatory Commission (PRC) issued Price Adjustments for First-Class Mail finding the Postal Service pricing proposals to be consistent with the Consumer Price Index based price cap under the Postal Accountability and Enhancement Act of 2006.

The following actions affect domestic mail:

  • The Postal Service will maintain the price of the First-Class Mail stamp, which includes the Forever stamp, at $0.49.
  • The single-piece additional ounce for letters will increase to $0.22.
  • The price of postcards will increase to $0.35.

Changes to prices for international mail include:

  • Outbound Single-Piece First-Class Mail International Letters (first ounce) will increase to $1.20.
  • Non-machinable Outbound Single-Piece First-Class Mail International Letters (first ounce) will increase to $1.42.
  • Outbound Single-Piece First-Class Mail International Postcards will increase to $1.20.
  • Outbound Single-Piece First-Class Mail International Large Envelopes (Flats) (first ounce) will increase to $2.38.

All PRC documents pertaining to price changes for 2015 are located at www.prc.gov, under Docket No. R2015-4.

Also check out this article pertaining to Nonprofit Mailers, click here

The proposed postage rates would be particularly onerous for certain magazines like Consumer Reports, Guideposts, National Wildlife, and others that don’t weigh much and have little or no advertising. Those publications could see postage rise by more than 16 percent, costing hundreds of thousands of dollars extra annually — or even millions in a few cases.

New Postage for a New Year

Friday, December 27th, 2013

imagesThe United States Postal Service announced price changes, including an increase in the price of a First-Class Mail single-piece letter from 46 cents to 49 cents. The proposed changes, which would go into effect in January 2014, are intended to generate $2 billion in incremental annual revenue for the Postal Service.

Highlights of the new, single-piece first-class mail pricing, effective Jan. 26, 2014, include:

  • Letters (1 ounce) — three-cent increase to 49 cents
  • Letters additional ounces — one-cent increase to 21 cents
  • Letters to all international destinations (one ounce) — $1.15
  • Postcards — one-cent increase to 34 cents

Stamp prices have stayed consistent with the average annual rate of inflation of 4.2 percent since the Postal Service was formed in 1971.  Note: all metered mail will gain a savings of $0.01 per piece (off full postage rates).

Pros and Cons of Every Door Direct Mail®

Monday, April 22nd, 2013

eddmWe seem to be reading about the USPS almost every week.    As they continue to work on new strategies and new offers, it helps to understand what is available to marketers who utilize direct mail. One of the more recent services is Every Door Direct Mail® or EDDM.

Essentially, EDDM offers marketers the ability to saturate an area of a mail carrier’s route with a mail piece at a lower postage rate.  It is an easy and fast way to mail to people based on postal delivery routes.  A list is not required and the mail cannot be personalized.  This is an option to advertise to the masses via the mail.  As with any service option, there are always pros and cons:

Pros:

  1. The solution is simple
  2. You can quickly target customers by zip code without compiling or buying a list
  3. It is very affordable  ( A lower fixed postage per piece  and no list expense)
  4. It is delivered the next day after dropping off at the delivery area post office

Cons:

  1. The service could be too simplistic for some marketers
  2. Limits the size of the mail piece. (only large postcard mailers – no catalogs or letters)
  3. No personalization
  4. Impossible to customize or segment your targets other than zip code.  Your mail cannot be targeted by demographics like gender, income level or age
  5. Must be delivered directly to each post office handling your zip codes
  6. Practically impossible to track results

If your business is working with a limited budget and marketing resources, this may be a good option.  Is your business one that would benefit?  Ask yourself this:  In the average neighborhood, does every household have a need or want for your products or services?  For example, dentists, plumbers, and pest control companies stand a good chance of benefiting.   On the other hand, car dealerships, golf courses and high end restaurants would not.

If you are looking to track results and effectively measure your response and ROI, you may be better off using a data base that can be segmented with different target messages.  Think about different messages and offers to different targets based on demographics and data that is relevant to your target market.   Think about different offers to different targets to test their response and effectiveness.  This will result in a more effective campaign in most cases.

To learn more about EDDM, please contact us or visit the USPS at https://www.usps.com/business/every-door-direct-mail.htm

 

Postal Service Announces New Five Day Delivery Schedule

Friday, February 8th, 2013

USPS is cancelling Saturday delivery starting Aug 5, 2013.

See the announcement video click HERE!

Autumn = Apple Cider, Football, and … Postage Increases?

Wednesday, October 17th, 2012

It seems that autumn is not only full of some of favorite activities like picking apples and watching football, but is also time for the unwanted but seemingly inevitable USPS postage rate price increase proposal.

We are all reading about the financial woes of the USPS and according to the latest news, the new rates are a necessity.   The new single-piece First-Class Mail pricing, effective Jan. 27, 2013 include:

Letters (1oz.) – $0.01 increase to $0.46
Letters additional ounces – unchanged at $0.20
Letters to all international destinations (1oz.) – $1.10
Postcards – $0.01 increase to $0.33

Prices for all products (Mailing and Shipping services) will increase by 4%, but prices for Mailing Services, such as regular letters and advertising matter, will increase only 2.6%. The Postal Regulatory Commission (PRC) will review the prices before they become effective Jan. 27, 2013.

So while taking in some of your favorite autumn rituals, be sure to consult with your account manager regarding postal presorting, CASS, NCOA, Everydoor Direct Mail, and other programs to maximize your postage savings!

And finally, don’t forget to take some time to drink some apple cider and watch a little October baseball!  

 

 

 

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